Analysis of Netflix in the UAE, the Mena Region, and America

Topic: Company Analysis
Words: 657 Pages: 3

The Company’s Profile in the UAE

Netflix’s appearance on the UAE market has been a significant success so far. To be more exact, the streaming service became available for the residents in 2016 (Netflix, 2021). In addition, people welcomed this news since they used to employ external apps, such as VPN, to access movies and TV series. However, with Netflix, people can stream shows by paying for the company’s service. Still, the UAE app features a considerably fewer amount of series and movies than the foreign market. Overall, Netflix is highly popular among residents since they can now watch anything they like in various languages and subtitles if they need it.

The Company’s Profile in the Mena Region

As for the Mena region, the emergence of Netflix has been successful as well. In 2020, more than 14 million people subscribed for the organization’s streaming services (The Arab Weekly, 2021). In addition, according to the study of Digital TV, the number of users is expected to double in the next five years. Another critical point is that numerous shows and movies shot in the countries of the Mena region are streamed worldwide with great success. Netflix spokesperson announces the possibility of upcoming works from the territory since “the diversity of the region and its entertainment tastes also gives us so much to work with” (Scene Arabia, 2018). By and whole, Netflix’s overall situation on the territory is highly beneficial for the company, and the subscribers’ activity yields numerous opportunities for the organization’s further advancement in the region.

The Company’s Profile in the USA

The American market is indeed the most beneficial for the streaming service organization. It is evident that the company operates worldwide; however, still “its subscription business is more established in North America” (Kats, 2021, par. 4). As a result, the number of Netflix viewers is expected to grow to 174.7 million this year (Kats, 2021). Furthermore, Americans have access to the highest number of shows and movies compared to other countries. To sum up, American cinematic pieces are recognized as the most prominent contribution to Netflix.

Netflix’s Weaknesses and Strengths in the UAE

Consequently, Netflix has a strong position in the UAE market, which gives it considerable strengths. To be more exact, the company has a big brand name and attracts numerous users. It allows people to stream the shows in different languages and with subtitles. Residents can now easily find any movies and series without having to use VPN apps. However, the streaming service does not include numerous popular cinematic pieces due to their high licensing cost. Another critical point is that a monthly subscription is relatively costly, and not every resident can afford to pay such an amount for streaming shows regularly.

Netflix’s Opportunities and Threats in the UAE

The UAE market also yields numerous benefits to Netflix, such as opportunities to film shows in the country. To be more particular, the diversity of the culture is fascinating for potential cinematic pieces. In addition, Netflix might increase its revenue by inserting promotions on the streaming platform. However, the organization’s earnings are dependant on exchange rates fluctuations, and, considering that the subscription cost is high, Netflix might increase to avert bankruptcy. As a result, fewer residents might use the streaming services since the price would be incredibly high.

Netflix’s International Marketing Orientation

Netflix’s successful marketing strategy allowed the company to expand its operations worldwide. The organization’s primary strategic move is to enter countries beyond the U.S. market steadily and not at once. Netflix focuses on building efficient relationships with local stakeholders to increase its earnings. Basically, the company analyzes the residents’ preferences and abilities before establishing its branches in the country. In addition, Netflix is highly concentrated on technology advancement: expanding support for a higher devices’ range. Lastly, the organization’s main aim is to conveniently deliver the content to its users, so the streaming service increases the number of available translations and subtitles languages.

References

Kats, R. (2020). Netflix statistics: How many subscribers does Netflix have? Worldwide, US member count and growth. Insider Intelligence. Web.

Kats, R. (2020). Netflix Viewers [Graph]. Web.

Netflix. (2021). About Netflix – Newsroom. Web.

The Arab Weekly. (2021). On-demand TV streaming expected to spike in MENA by 2026. Web.

Scene Arabia. (2018). How Netflix’s first original Arabic series “Jinn” could change the Mena’s entertainment politics. Web.